Citigroup The company is adding another person to oversee improvements to its data quality control processes, which regulators have cited as inadequate.
Tim Ryan is City In June, he joined forces with Anand Selva as head of technology and business enablement. City Chief Operating Officer John F. Kelly will lead the data-boosting effort, according to an internal memo from Messrs. Ryan and Selva published Monday and reviewed by American Banker.
Prior to joining PricewaterhouseCoopers, Ryan was a senior partner. CitySelva will have “direct management oversight” of the data team, according to the memo. He will continue to oversee the company's long-standing risk management and controls improvement projects, as well as City Daily operations and management.
The move came about two months later. City was fined a total of $136 million in civil penalties. The Federal Reserve and the Office of the Comptroller of the Currency said the megabank had not acted quickly enough to address deficiencies in its risk management program or meet certain improvement targets related to data integrity.
The company said on Monday that Ryan's lead on its data team, which has about 800 employees, is unrelated to the fine. City The company said it had been planning to do so for some time.
In the memo, Ryan and Selva said there were “clear benefits” to working together to improve the data.
“Data and technology are intrinsically linked, and the maturity and sustainability of data transformation plans will require greater use of technology,” they wrote. “The pace and quality of this effort will be enhanced by a combination of deep data and technology knowledge. City Each brings extensive experience in implementing large-scale technology projects.”
Selva is City For over 30 years, Promoted to the newly created role of COO in March 2023 He was in charge of reviewing risk management. Karen Peetzretired City Later that year.
As COO, Selva reports directly to CEO Jane Fraser.
At PwC, Ryan was responsible for the strategy and execution of the accounting firm and its 75,000 employees, and according to his resume he is “skilled at leading large-scale transformational change” and is credited with “adapting the workforce and operations for the digital age”.
Data integrity is City The company has been working to improve since 2020. Received consent orders from the Federal Reserve Board and the Securities and Exchange CommissionThe company was fined $400 million. In addition to data quality controls, the consent order also required: City It also addresses issues related to governance, risk and compliance functions.
In July, the Fed and OCC City The OCC also assessed civil penalties of $60.6 million and $75 million, respectively, for taking too long to implement data-related improvements. City Within 30 days of the date of the order, the bank must submit a board-approved plan outlining the process by which it will determine whether “sufficient resources” are being directed toward “achieving timely and sustainable compliance.”
Speaking at an industry conference last week, Chief Financial Officer Mark Mason said the company has “already done a lot of work” on how to invest in collecting quality data, as well as how to improve processes, governance and standardization around that data.
“And we will continue to do that as necessary over the next few quarters,” Mason said.
Also on Monday, City The company has found a buyer for one of its asset management businesses, which it is scaling back to buy Simpler and more profitable company.
City The company plans to sell its global trust administration services to global professional services provider JTC for $80 billion, according to a regulatory filing. The deal is expected to close in the first half of 2025 and will help drive JTC's growth, including in the United States.
Since Fraser took over as CEO in 2021., City The company is selling or downsizing underperforming businesses around the world, including about a dozen consumer banking franchises overseas, for a total of 14 businesses, including Mexico's Banamex franchise.
The company also sold its municipal bond underwriting and trading business and its non-performing loan group.
